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14 Cards in this Set

  • Front
  • Back

The Supply Chain System

System of processes that cut across organizations and deliver customer value, rather than being a series of separate organizations and functions

Information Technology Design

Enables data sharing, communication, and process synchronization

Business Process

A structured set of activities or steps with specified outcomes

-Processes involve many organizational functions

-Every process has structural and resource constraints limiting output

Supply Chain Strategy

Provides the long-range plan for the supply chain system. two elements support this strategy:

-Supply chain network design: physical structure and business processes included in the system

-Information Technology design

Managing Supply Chain Process: Transactional View

Focuses on making supply chain processes more efficient and effective based on quantitative metrics

Managing Supply Chain Process: Relationship View

Focused on Managing relationships across the supply chain for long term benefit of all the supply chain members.

Vertical Integration vs. Coordination

Vertical integration: ownership of upstream suppliers and downstream customers.

Supply Chain Network

Two important aspects:

-Physical structure of the network

-Management of the network

Supply Chain Structure

Three elements define it:

1. Number of companies in the supply chain

2. Structural dimensions of the network

3. Number of process links across the supply chain

Supply Chain Network Management

Not all supply chain branches and links need to be managed equally

-Identify and manage key process links across the supply chain

-Manage process across the supply chain

-Integrate activities into SCM processes

Challenges of creating a competitive supply chain network

Most companies operate in global markets with rapidly changing consumer expectations.

Increase in demand by consumers for customized products.

To effectively meet these challenges companies are adopting segmented network.

Role of Information Technology in SC

Enables the linking of processes across the supply chain

-Enables communication

-Provides storage

-Organizes info

-Provides visibility

-Processes data within and between firms

Enterprise Resource Planning (ERP)

Fully integrated computer-based technology used by organizations to manage resources throughout the supply chain.

It consolidates all business processes into an enterprise-wide system that: operates in real time, uses a single, centralized database, utilizes a standard format for inputted data, is comprises of modules for business processes.

ERP Components

ERP modules include multiple components designed for specific purpose